Rescue hopes for Jarvis Hotels are understood to be closer to resolution amid
talks about a possible £50 million injection.

The European private equity group Patron Capital is believed to be in
discussions with the regional hotel group’s main lender over a deal to take
joint control of the chain.

Industry insiders said that Royal Bank of Scotland’s West Register vehicle and
Patron would inject an equal amount into the business via a 50-50 joint
venture that would reduce Jarvis’s debt from £130 million to an estimated
£60 million.

The mooted restructuring would involve HSBC and Bank of Ireland writing